Honda to add production shift at Ontario plant

TORONTO (Reuters) - Honda Canada said on Tuesday it plans to add a second production shift in early 2011 at one of its two assembly plants in Alliston, Ontario, increasing output by 400 to 600 vehicles a day and creating more than 400 new jobs.

Honda makes the Civic sedan, the Acura MDX sport utility vehicle and the Acura ZDX crossover at its Honda Canada Manufacturing Plant 2 north of Toronto.

"We are pleased to be making this announcement as the Canadian economy continues to show signs of recovery," Manabu Nishimae, chief executive of Honda Canada, said in a statement.

Last year, more than 52 percent of Honda and Acura vehicles sold in Canada were made at the facility, the company said.

HCM Plant 1 produces the Honda Civic coupe and sedan, as well as the Acura CSX luxury compact sedan. The engine plant produces 1.8-liter 4-cylinder engines for the Civic.

Plant 1 has been in operation since 1986 and Plant 2 since 1998. Engine production began in 2008.

Honda said it has invested more than C$2.6 billion ($2.5 billion) in the two assembly plants, which have the capacity to produce 390,000 vehicles a year. The engine plant can produce up to 200,000 engines annually.